3.8 Article

China's evolving role in Apple's global value chain

Journal

AREA DEVELOPMENT AND POLICY
Volume 1, Issue 1, Pages 94-112

Publisher

ROUTLEDGE JOURNALS, TAYLOR & FRANCIS LTD
DOI: 10.1080/23792949.2016.1149434

Keywords

Apple; China; ICT global value chain; Core and non-core component suppliers; Assembly-related functions

Funding

  1. EU 7th Framework Programme - Marie Curie International Incoming Fellowship [302303/911303]
  2. National Natural Science Foundation of China [71203020]

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Using Apple's 2015 published list of supplier companies and their subsidiaries, this paper analyses how one of the world's most significant lead technology companies and its network of core and non-core suppliers have become increasingly embedded in China's information and communications technology (ICT) global value chain. By mapping both the global networks and the networks within China of Apple's supply chain, this paper provides insights into the significance for China and for Chinese companies of its increased integration in the ICT global value chain (GVC). By examining the geography of outsourcing and offshoring by Apple's suppliers, it distinguishes between locations where intellectual property is being generated and consumed and refers to the particular challenges faced by a latecomer country such as China in achieving the best balance between technology autonomy and benefiting from GVC integration.

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